I do not know the answer to this riddle, but the value of a whole profession, the parties involved, as well as the worth of the corporations involved, appear to revolve around the answer, and the issue is meaningful from an investing standpoint. Would someone be so kind and address this question?
There is no doubt that AI technologies are going to be disruptive in many areas. The big question mark is the degree to which and exactly how disruptive. Through history, whenever there are new technologies, the initial concern is always that it is going to eliniate jobs and create problems. Time and again, it tends to be the opposite where it leads to growth and new jobs and companies that no one really thought of. Certianly some sharpening of pencils around valuations makes sense and we think a lot of this has been done at this stage, regardlss of whether it was justified or not at certain companies. Going forward we think markets will begin to separate potential winners from losers.
We do think the concerns got a bit overblown but things seem to b settling down a bit. We also think markets should/wil start contemplating and framing Ai differrently in that it might actually be an economic driver. While AI is software/digital based, it has potential to create economic activity across all industries. It lowers hurdles for business creation and improves margins and should be a boon to entrepreneurship. Long-term these are almost certainly good things.
Of course, it wll not impact all people and industries in the same ways but for companies that might be more directly impacted, it is important to remember that those companies are just as capable as 'startups' to create their own AI related products and services to stay relevant.